§ Mr. Russell Kerrasked the Secretary of State for Trade whether he has deter- 494W mined pension provision for employees of the Civil Aviation Authority.
§ Mr. ShoreYes. Under the provisions of paragraph 13(1) of Schedule 1 to the Civil Aviation Act 1971 I have, with the approval of the Minister for the Civil Service, determined the authority's pension arrangements for employees. The authority has an obligation to become self-supporting; that is, to recover the whole of its costs and to earn a reasonable return on capital. The aim set out in the policy guidance is to dispense with grants-in-aid by 1977–78. Certainly well before then the authority should be financing more than half of total operating expenditure from its own resources. The authority is unique among grant-aided bodies in being required to work to a financial target which is akin to the financial objectives of the nationalised industries. With this factor in mind, and having regard to the urgent need for the authority to conclude contracts with its staff, I have agreed to a pension scheme which is different in some respects from normal public services provision. I have thus anticipated the position which will in any event arise before long when the lesser part of the authority's revenue is derived from grant-in-aid and when it will be the intention to seek legislation to remove the statutory requirement for control over pension provision.
§ Mr. Kinnockasked the Secretary of State for Trade (1) whether he proposes to monitor and enforce the recommendations which he has given to British firms operating in South Africa on the conduct of their relationships with black and coloured South African employees;
(2) if he will list in the OFFICIAL REPORT the names of British firms operating in South Africa not currently complying with the recommendations which he has given to them on the conduct of their relationships as employers with black and coloured South Africa employees.
§ Mr. Shore,pursuant to his reply [OFFICIAL REPORT, 9th December 1974; Vol. 883, c. 55], gave the following information:
A Command Paper containing the Government's observations on this report is being laid before Parliament today. It 495W includes Inland Revenue guidance on the tax aspect to which the Confederation of British Industry and United Kingdom South Africa Trade Association raised no objection. The Government are satisfied that parent companies can act with confidence in implementing the Select Committee's code of practice which the Government have commended to British firms with South African interests.